Naspers VC unit backs India's ElasticRun

Kalaari Capital and Avataar Ventures also participated. It follows two investments last year, including a $8.2 million round from Kalaari and Norwest Venture Partners and a $20 million round from Sequoia Capital India. The company has raised at least $77 million to date, according to AVCJ Research.

ElasticRun positions itself as a virtual logistics network for the distribution of consumer products. It allows small convenience store operators in some 200 cities to reduce logistics costs by improving efficiencies in last-mile delivery through collaboration and aggregation. They can apply to fulfill orders posted on the platform and also seek peers to make deliveries for them.

The company will use the new funds to introduce new product lines and service categories, while improving analytics and artificial intelligence capabilities. It will also grow its coverage area into new geographies and consolidate its position in its existing footprint. ElasticRun said it aimed to cover one million stores in the near future but did not specify a timeframe.

“ElasticRun is one of those rare businesses that identified a massive need in the market, matched it with a local solution paired with technology, for the benefit of all parties involved,” said Ashutosh Sharma, head of India at Prosus Ventures, in a statement. “Consumers get faster deliveries and greater choice of goods, store owners realize increased revenues and touchpoints with their customers, and consumer goods companies get better access and insight into their target audiences.”

Prosus Ventures, formerly known as Naspers Ventures, is a division of Prosus, a Naspers-controlled internet technology investment business. Naspers listed 27% of Prosus on Euronext in Amsterdam earlier this year, retaining a 73% position. Recent activity in the Indian consumer logistics space includes participation in a $1 billion Series H round for food delivery platform Swiggy and a $125 million round for Messho, an e-commerce platform.

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• Topics
• South Asia
• Consumer
• Support services
• Technology
• Expansion
• India
• Naspers
• Kalaari Capital
• Avataar Venture Partners
• Logistics